Morneau Shepell is acquiring Groupe AST, the largest workers’ compensation provider in Quebec, from ADP Canada.
“Through this acquisition, Morneau Shepell gains more than 150 employees in Montreal and Quebec City, more than 12,000 client companies, 18 prevention mutual groups, and annual revenue of more than $20 million at comparable margins,” says Julien Ponce, executive vice-president for Morneau Shepell responsible for the Quebec and Atlantic Canada regions.
Groupe AST provides a variety of workers’ compensation services including risk assessment, safety training, claims management, independent medical advice, and safety communications, and also manages prevention mutual groups.
The purchase price in the amount of $32 million for Groupe AST will be financed through Morneau Shepell’s existing credit facility and two vendor take-back notes in the amount of $5 million.
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